(State or other jurisdiction of incorporation) | (Commission File Number) | (IRS Employer Identification No.) |
(Address of principal executive offices) | (Zip Code) |
Title of each class | Trading Symbol(s) | Name of each exchange on which registered | ||
Exhibit No. | Description |
99.1 | |
104 | Cover Page Interactive Data File (embedded within the Inline XBRL document) |
AUTODESK, INC. | |
By: /s/ STEPHEN W. HOPE | |
Stephen W. Hope Vice President and Chief Accounting Officer (Principal Accounting Officer) |
• | Total revenue increased 20 percent to $886 million; |
• | GAAP operating margin was 15 percent, up 11 percentage points; |
• | Non-GAAP operating margin was 28 percent, up 10 percentage points; |
• | GAAP diluted EPS was $0.30; Non-GAAP diluted EPS was $0.85; |
• | Cash flow from operating activities was $327 million; free cash flow was $307 million. |
• | Total billings increased 11 percent to $884 million. |
• | Total revenue was $886 million, an increase of 20 percent as reported, and 22 percent on a constant currency basis. Recurring revenue represents 98 percent of total. |
• | Design* revenue, previously described as Core, was $798 million, an increase of 20 percent as reported, and 22 percent on a constant currency basis. On a sequential basis, Design revenue increased 1 percent as reported and on a constant currency basis. |
• | Make* revenue, previously described as Cloud, was $67 million, an increase of 49 percent as reported, and 50 percent on a constant currency basis. On a sequential basis, Make revenue increased 6 percent as reported and on a constant currency basis. |
• | Subscription plan revenue was $803 million, an increase of 35 percent as reported, and 36 percent on a constant currency basis. On a sequential basis, subscription plan revenue increased 3 percent as reported and on a constant currency basis. |
• | Maintenance plan revenue was $62 million, a decrease of 45 percent as reported, and 44 percent on a constant currency basis. On a sequential basis, maintenance plan revenue decreased 22 percent as reported and on a constant currency basis. |
• | Net revenue retention* rate was within the range of 110 to 120 percent. |
• | GAAP operating income was $131 million compared to $25 million in the first quarter last year. GAAP operating margin was 15 percent, up 11 percentage points. |
• | Total non-GAAP operating income was $248 million compared to $132 million in the first quarter last year. Non-GAAP operating margin was 28 percent, up 10 percentage points. |
• | GAAP diluted net income per share was $0.30, compared to GAAP diluted net loss per share of $(0.11) in the first quarter last year. |
• | Non-GAAP diluted net income per share was $0.85, compared to non-GAAP diluted net income per share of $0.45 in the first quarter last year. |
• | Deferred revenue increased 40 percent to $3.01 billion. Unbilled deferred revenue was $470 million, a decrease of $119 million compared to the first quarter of last year. Remaining performance obligations (RPO) totaled $3.5 billion, an increase of 27 percent. Current RPO totaled $2.4 billion, up 18 percent. |
• | Cash flow from operating activities was $327 million, an increase of $106 million compared to the first quarter last year. Free cash flow was $307 million, an increase of $101 million compared to the first quarter last year. |
Three Months Ended April 30, 2020 | Three Months Ended April 30, 2019 | Change compared to prior fiscal year | Constant currency change compared to prior fiscal year | ||||||||||||||
(In millions, except percentages) | $ | % | % | ||||||||||||||
Net Revenue: | |||||||||||||||||
Americas | |||||||||||||||||
U.S. | $ | 300.6 | $ | 249.1 | $ | 51.5 | 21 | % | * | ||||||||
Other Americas | 61.6 | 46.7 | 14.9 | 32 | % | * | |||||||||||
Total Americas | 362.2 | 295.8 | 66.4 | 22 | % | 23 | % | ||||||||||
EMEA | 344.8 | 297.2 | 47.6 | 16 | % | 20 | % | ||||||||||
APAC | 178.7 | 142.5 | 36.2 | 25 | % | 26 | % | ||||||||||
Total Net Revenue | $ | 885.7 | $ | 735.5 | $ | 150.2 | 20 | % | 22 | % | |||||||
Emerging Economies | $ | 111.4 | $ | 87.9 | $ | 23.5 | 27 | % | 27 | % |
Three Months Ended April 30, 2020 | Three Months Ended April 30, 2019 | Change compared to prior fiscal year | ||||||||||||
(In millions, except percentages) | $ | % | ||||||||||||
AEC | $ | 382.7 | $ | 304.3 | $ | 78.4 | 26 | % | ||||||
AutoCAD and AutoCAD LT | 262.2 | 213.2 | 49.0 | 23 | % | |||||||||
MFG | 182.9 | 167.5 | 15.4 | 9 | % | |||||||||
M&E | 52.6 | 45.5 | 7.1 | 16 | % | |||||||||
Other | 5.3 | 5.0 | 0.3 | 6 | % | |||||||||
$ | 885.7 | $ | 735.5 | $ | 150.2 | 20 | % |
Q2 FY21 Guidance Metrics | Q2 FY21 (ending July 31, 2020) |
Revenue (in millions) | $890 - $905 |
EPS GAAP | $0.39 - $0.45 |
EPS non-GAAP (1) | $0.86 - $0.92 |
FY21 Guidance Metrics | FY21 (ending January 31, 2021) |
Billings (in millions) (1) | $4,070 - $4,220 Down (3%) - Up 1% |
Revenue (in millions) (1) | $3,675 - $3,775 Up 12% - 15% |
GAAP operating margin | 14% - 16% |
Non-GAAP operating margin (2) | 27% - 29% |
EPS GAAP | $1.51 - $1.89 |
EPS non-GAAP (3) | $3.52 - $3.90 |
Free cash flow (in millions) (4) | $1,300 - $1,400 |
Autodesk, Inc. | |||||||
Condensed Consolidated Statements of Operations | |||||||
(In millions, except per share data) | |||||||
Three Months Ended April 30, | |||||||
2020 | 2019 | ||||||
(Unaudited) | |||||||
Net revenue: | |||||||
Subscription | $ | 803.0 | $ | 595.8 | |||
Maintenance | 62.1 | 112.0 | |||||
Total subscription and maintenance revenue | 865.1 | 707.8 | |||||
Other | 20.6 | 27.7 | |||||
Total net revenue | 885.7 | 735.5 | |||||
Cost of revenue: | |||||||
Cost of subscription and maintenance revenue | 57.4 | 59.7 | |||||
Cost of other revenue | 17.1 | 13.8 | |||||
Amortization of developed technology | 7.4 | 9.2 | |||||
Total cost of revenue | 81.9 | 82.7 | |||||
Gross profit | 803.8 | 652.8 | |||||
Operating expenses: | |||||||
Marketing and sales | 341.3 | 313.3 | |||||
Research and development | 217.4 | 205.6 | |||||
General and administrative | 104.8 | 99.1 | |||||
Amortization of purchased intangibles | 9.7 | 9.8 | |||||
Restructuring and other exit costs, net | — | 0.2 | |||||
Total operating expenses | 673.2 | 628.0 | |||||
Income from operations | 130.6 | 24.8 | |||||
Interest and other expense, net | (40.1 | ) | (16.2 | ) | |||
Income before income taxes | 90.5 | 8.6 | |||||
Provision for income taxes | (24.0 | ) | (32.8 | ) | |||
Net income (loss) | $ | 66.5 | $ | (24.2 | ) | ||
Basic net income (loss) per share | $ | 0.30 | $ | (0.11 | ) | ||
Diluted net income (loss) per share | $ | 0.30 | $ | (0.11 | ) | ||
Weighted average shares used in computing basic net income (loss) per share | 219.2 | 219.6 | |||||
Weighted average shares used in computing diluted net income (loss) per share | 221.3 | 219.6 |
Autodesk, Inc. | |||||||
Condensed Consolidated Balance Sheets | |||||||
(In millions) | |||||||
April 30, 2020 | January 31, 2020 | ||||||
(Unaudited) | |||||||
ASSETS | |||||||
Current assets: | |||||||
Cash and cash equivalents | $ | 1,389.7 | $ | 1,774.7 | |||
Marketable securities | 77.2 | 69.0 | |||||
Accounts receivable, net | 356.5 | 652.3 | |||||
Prepaid expenses and other current assets | 200.9 | 163.3 | |||||
Total current assets | 2,024.3 | 2,659.3 | |||||
Computer equipment, software, furniture and leasehold improvements, net | 164.2 | 161.7 | |||||
Operating lease right-of-use assets | 424.7 | 438.8 | |||||
Developed technologies, net | 67.0 | 70.9 | |||||
Goodwill | 2,430.2 | 2,445.0 | |||||
Deferred income taxes, net | 50.8 | 56.4 | |||||
Long-term other assets | 382.7 | 347.2 | |||||
Total assets | $ | 5,543.9 | $ | 6,179.3 | |||
LIABILITIES AND STOCKHOLDERS’ DEFICIT | |||||||
Current liabilities: | |||||||
Accounts payable | $ | 85.2 | $ | 83.7 | |||
Accrued compensation | 158.1 | 272.1 | |||||
Accrued income taxes | 25.2 | 21.2 | |||||
Deferred revenue | 2,163.9 | 2,176.1 | |||||
Operating lease liabilities | 46.0 | 48.1 | |||||
Current portion of long-term notes payable, net | — | 449.7 | |||||
Other accrued liabilities | 99.9 | 168.3 | |||||
Total current liabilities | 2,578.3 | 3,219.2 | |||||
Long-term deferred revenue | 841.2 | 831.0 | |||||
Long-term operating lease liabilities | 402.0 | 411.7 | |||||
Long-term income taxes payable | 18.9 | 19.1 | |||||
Long-term deferred income taxes | 81.0 | 82.5 | |||||
Long-term notes payable, net | 1,635.6 | 1,635.1 | |||||
Long-term other liabilities | 126.0 | 119.8 | |||||
Stockholders’ deficit: | |||||||
Common stock and additional paid-in capital | 2,401.3 | 2,317.0 | |||||
Accumulated other comprehensive loss | (179.1 | ) | (160.3 | ) | |||
Accumulated deficit | (2,361.3 | ) | (2,295.8 | ) | |||
Total stockholders’ deficit | (139.1 | ) | (139.1 | ) | |||
Total liabilities and stockholders' deficit | $ | 5,543.9 | $ | 6,179.3 |
Autodesk, Inc. | |||||||
Condensed Consolidated Statements of Cash Flows | |||||||
(In millions) | |||||||
Three Months Ended April 30, | |||||||
2020 | 2019 | ||||||
(Unaudited) | |||||||
Operating activities: | |||||||
Net income (loss) | $ | 66.5 | $ | (24.2 | ) | ||
Adjustments to reconcile net income (loss) to net cash provided by operating activities: | |||||||
Depreciation, amortization and accretion | 30.0 | 32.7 | |||||
Stock-based compensation expense | 98.2 | 75.2 | |||||
Deferred income taxes | 3.5 | 24.4 | |||||
Restructuring and other exit costs, net | — | 0.2 | |||||
Other operating activities | 32.7 | 15.3 | |||||
Changes in operating assets and liabilities | |||||||
Accounts receivable | 295.5 | 206.2 | |||||
Prepaid expenses and other assets | (47.5 | ) | 11.4 | ||||
Accounts payable and other liabilities | (154.6 | ) | (172.6 | ) | |||
Deferred revenue | (1.1 | ) | 62.2 | ||||
Accrued income taxes | 4.1 | (9.6 | ) | ||||
Net cash provided by operating activities | 327.3 | 221.2 | |||||
Investing activities: | |||||||
Purchases of marketable securities | (11.0 | ) | (19.8 | ) | |||
Sales of marketable securities | — | 4.6 | |||||
Purchases of developed technologies | (3.6 | ) | — | ||||
Capital expenditures | (19.9 | ) | (14.7 | ) | |||
Other investing activities | (43.5 | ) | 0.7 | ||||
Net cash used in investing activities | (78.0 | ) | (29.2 | ) | |||
Financing activities: | |||||||
Proceeds from issuance of common stock, net of issuance costs | 56.8 | 46.9 | |||||
Taxes paid related to net share settlement of equity awards | (32.5 | ) | (25.8 | ) | |||
Repurchases of common stock | (202.0 | ) | (88.5 | ) | |||
Repayment of debt | (450.0 | ) | (125.0 | ) | |||
Other financing activities | (2.5 | ) | — | ||||
Net cash used in financing activities | (630.2 | ) | (192.4 | ) | |||
Effect of exchange rate changes on cash and cash equivalents | (4.1 | ) | (2.4 | ) | |||
Net decrease in cash and cash equivalents | (385.0 | ) | (2.8 | ) | |||
Cash and cash equivalents at beginning of period | 1,774.7 | 886.0 | |||||
Cash and cash equivalents at end of period | $ | 1,389.7 | $ | 883.2 | |||
Supplemental cash flow disclosure: | |||||||
Non-cash financing activities: | |||||||
Fair value of common stock issued to settle liability-classified restricted stock units | $ | 28.7 | $ | — |
Autodesk, Inc. | |||||||
Reconciliation of GAAP financial measures to non-GAAP financial measures | |||||||
(In millions, except per share data) | |||||||
To supplement our consolidated financial statements presented on a GAAP basis, we provide investors with certain non-GAAP measures including non-GAAP net income per share, non-GAAP operating margin, non-GAAP spend, non-GAAP EPS and free cash flow. For our internal budgeting and resource allocation process and as a means to evaluate period-to-period comparisons, we use non-GAAP measures to supplement our consolidated financial statements presented on a GAAP basis. These non-GAAP measures do not include certain items that may have a material impact upon our future reported financial results. We use non-GAAP measures in making operating decisions because we believe those measures provide meaningful supplemental information regarding our earning potential and performance for management by excluding certain expenses and charges that may not be indicative of our core business operating results. For the reasons set forth below, we believe these non-GAAP financial measures are useful to investors both because (1) they allow for greater transparency with respect to key metrics used by management in its financial and operational decision-making and (2) they are used by our institutional investors and the analyst community to help them analyze the health of our business. This allows investors and others to better understand and evaluate our operating results and future prospects in the same manner as management, compare financial results across accounting periods and to those of peer companies and to better understand the long-term performance of our core business. We also use some of these measures for purposes of determining company-wide incentive compensation. | |||||||
There are limitations in using non-GAAP financial measures because non-GAAP financial measures are not prepared in accordance with GAAP and may be different from non-GAAP financial measures used by other companies. The non-GAAP financial measures are limited in value because they exclude certain items that may have a material impact upon our reported financial results. In addition, they are subject to inherent limitations as they reflect the exercise of judgments by management about which charges are excluded from the non-GAAP financial measures. We compensate for these limitations by analyzing current and future results on a GAAP basis as well as a non-GAAP basis and also by providing GAAP measures in our public disclosures. The presentation of non-GAAP financial information is meant to be considered in addition to, not as a substitute for or in isolation from, the directly comparable financial measures prepared in accordance with GAAP. We urge investors to review the reconciliation of our non-GAAP financial measures to the comparable GAAP financial measures included in this presentation, and not to rely on any single financial measure to evaluate our business. | |||||||
The following table shows Autodesk's non-GAAP results reconciled to GAAP results included in this release. | |||||||
Three Months Ended April 30, | |||||||
2020 | 2019 | ||||||
(Unaudited) | |||||||
GAAP cost of subscription and maintenance revenue | $ | 57.4 | $ | 59.7 | |||
Stock-based compensation expense | (3.6 | ) | (3.6 | ) | |||
Acquisition related costs | (0.2 | ) | — | ||||
Non-GAAP cost of subscription and maintenance revenue | $ | 53.6 | $ | 56.1 | |||
GAAP cost of other revenue | $ | 17.1 | $ | 13.8 | |||
Stock-based compensation expense | (1.5 | ) | (1.3 | ) | |||
Non-GAAP cost of other revenue | $ | 15.6 | $ | 12.5 | |||
GAAP amortization of developed technologies | $ | 7.4 | $ | 9.2 | |||
Amortization of developed technologies | (7.4 | ) | (9.2 | ) | |||
Non-GAAP amortization of developed technologies | $ | — | $ | — | |||
GAAP gross profit | $ | 803.8 | $ | 652.8 | |||
Stock-based compensation expense | 5.1 | 4.9 | |||||
Amortization of developed technologies | 7.4 | 9.2 | |||||
Acquisition related costs | 0.2 | — | |||||
Non-GAAP gross profit | $ | 816.5 | $ | 666.9 | |||
GAAP marketing and sales | $ | 341.3 | $ | 313.3 | |||
Stock-based compensation expense | (40.7 | ) | (32.5 | ) | |||
Acquisition related costs | (1.7 | ) | — |
Non-GAAP marketing and sales | $ | 298.9 | $ | 280.8 | |||
GAAP research and development | $ | 217.4 | $ | 205.6 | |||
Stock-based compensation expense | (33.0 | ) | (26.7 | ) | |||
Non-GAAP research and development | $ | 184.4 | $ | 178.9 | |||
GAAP general and administrative | $ | 104.8 | $ | 99.1 | |||
Stock-based compensation expense | (19.4 | ) | (11.1 | ) | |||
Acquisition related costs | — | (12.7 | ) | ||||
Non-GAAP general and administrative | $ | 85.4 | $ | 75.3 | |||
GAAP amortization of purchased intangibles | $ | 9.7 | $ | 9.8 | |||
Amortization of purchased intangibles | (9.7 | ) | (9.8 | ) | |||
Non-GAAP amortization of purchased intangibles | $ | — | $ | — | |||
GAAP restructuring and other exit costs, net | $ | — | $ | 0.2 | |||
Restructuring and other exit costs, net | — | (0.2 | ) | ||||
Non-GAAP restructuring and other exit costs, net | $ | — | $ | — | |||
GAAP operating expenses | $ | 673.2 | $ | 628.0 | |||
Stock-based compensation expense | (93.1 | ) | (70.3 | ) | |||
Amortization of purchased intangibles | (9.7 | ) | (9.8 | ) | |||
Acquisition related costs | (1.7 | ) | (12.7 | ) | |||
Restructuring and other exit costs, net | — | (0.2 | ) | ||||
Non-GAAP operating expenses | $ | 568.7 | $ | 535.0 | |||
GAAP spend | $ | 755.1 | $ | 710.7 | |||
Stock-based compensation expense | (98.2 | ) | (75.2 | ) | |||
Amortization of developed technologies | (7.4 | ) | (9.2 | ) | |||
Amortization of purchased intangibles | (9.7 | ) | (9.8 | ) | |||
Acquisition related costs | (1.9 | ) | (12.7 | ) | |||
Restructuring and other exit costs, net | — | (0.2 | ) | ||||
Non-GAAP spend | $ | 637.9 | $ | 603.6 | |||
GAAP operating margin | 15 | % | 3 | % | |||
Stock-based compensation expense | 11 | % | 10 | % | |||
Amortization of developed technologies | 1 | % | 1 | % | |||
Amortization of purchased intangibles | 1 | % | 1 | % | |||
Acquisition related costs | — | % | 2 | % | |||
Non-GAAP operating margin | 28 | % | 18 | % | |||
GAAP income from operations | $ | 130.6 | $ | 24.8 | |||
Stock-based compensation expense | 98.2 | 75.2 | |||||
Amortization of developed technologies | 7.4 | 9.2 | |||||
Amortization of purchased intangibles | 9.7 | 9.8 | |||||
Acquisition related costs | 1.9 | 12.7 | |||||
Restructuring and other exit costs, net | — | 0.2 | |||||
Non-GAAP income from operations | $ | 247.8 | $ | 131.9 | |||
GAAP interest and other expense, net | $ | (40.1 | ) | $ | (16.2 | ) | |
Loss on strategic investments and dispositions, net | 16.6 | 5.0 | |||||
Non-GAAP interest and other expense, net | $ | (23.5 | ) | $ | (11.2 | ) | |
GAAP provision for income taxes | $ | (24.0 | ) | $ | (32.8 | ) | |
Discrete GAAP tax items | 0.5 | (2.3 | ) | ||||
Income tax effect of non-GAAP adjustments | (12.4 | ) | 13.4 | ||||
Non-GAAP provision for income tax | $ | (35.9 | ) | $ | (21.7 | ) | |
GAAP net income (loss) | $ | 66.5 | $ | (24.2 | ) | ||
Stock-based compensation expense | 98.2 | 75.2 | |||||
Amortization of developed technologies | 7.4 | 9.2 | |||||
Amortization of purchased intangibles | 9.7 | 9.8 | |||||
Acquisition related costs | 1.9 | 12.7 | |||||
Restructuring and other exit costs, net | — | 0.2 | |||||
Loss on strategic investments and dispositions, net | 16.6 | 5.0 | |||||
Discrete GAAP tax items | 0.5 | (2.3 | ) | ||||
Income tax effect of non-GAAP adjustments | (12.4 | ) | 13.4 | ||||
Non-GAAP net income | $ | 188.4 | $ | 99.0 | |||
GAAP diluted net income (loss) per share | $ | 0.30 | $ | (0.11 | ) | ||
Stock-based compensation expense | 0.44 | 0.34 | |||||
Amortization of developed technologies | 0.03 | 0.04 | |||||
Amortization of purchased intangibles | 0.04 | 0.04 | |||||
Acquisition related costs | 0.01 | 0.07 | |||||
Loss on strategic investments and dispositions, net | 0.08 | 0.02 | |||||
Discrete GAAP tax items | — | (0.01 | ) | ||||
Income tax effect of non-GAAP adjustments | (0.05 | ) | 0.06 | ||||
Non-GAAP diluted net income per share | $ | 0.85 | $ | 0.45 | |||
GAAP weighted average shares used in computing diluted net income (loss) per share | 221.3 | 219.6 | |||||
Dilutive effect of restricted awards | — | 2.4 | |||||
Non-GAAP weighted average shares used in computing diluted net income (loss) per share | 221.3 | 222.0 |
(In millions) | Net Cash Provided by Operating Activities | Capital Expenditures | Free Cash Flow | ||||||||
Three months ending April 30, 2019 | $ | 221.2 | $ | (14.7 | ) | $ | 206.5 | ||||
Three months ending April 30, 2020 | $ | 327.3 | $ | (19.9 | ) | $ | 307.4 |
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Cover Page |
May 27, 2020 |
---|---|
Cover [Abstract] | |
Document Type | 8-K |
Document Period End Date | May 27, 2020 |
Entity Registrant Name | Autodesk, Inc. |
Entity Incorporation, State or Country Code | DE |
Entity File Number | 000-14338 |
Entity Tax Identification Number | 94-2819853 |
Entity Address, Address Line One | 111 McInnis Parkway |
Entity Address, City or Town | San Rafael, |
Entity Address, State or Province | CA |
Entity Address, Postal Zip Code | 94903 |
City Area Code | 415 |
Local Phone Number | 507-5000 |
Written Communications | false |
Soliciting Material | false |
Pre-commencement Tender Offer | false |
Pre-commencement Issuer Tender Offer | false |
Title of 12(b) Security | Common Stock, par value $0.01 per share |
Trading Symbol | ADSK |
Security Exchange Name | NASDAQ |
Entity Emerging Growth Company | false |
Entity Central Index Key | 0000769397 |
Amendment Flag | false |